Barclays Sees Microchip Technology (MCHP) Less Sensitive to Industrial Demand Swings

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Barclays has initiated coverage on Microchip Technology (MCHP) with an Equal Weight rating and an $80 price target, noting its business is less sensitive to industrial demand fluctuations compared to peers. While cautiously optimistic about an industrial sector recovery, Barclays suggests that Microchip Technology could face pressure from potential market share losses in microcontrollers. Despite this, Microchip’s CEO reported solid growth in Q3 2026, driven by networking, data center, FPGA, and licensing, with significant design wins expected to generate substantial revenue.

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